Daniel Ruppar's Blog

Digital health is an area rampant with competition, winners, losers and promise. With that brings heavy interest in watching funding activities given the startup environment, as well as over time how those companies move to the next phase of lifecycle. According to StartUp Health, Digital Health funding has reached record levels of $3.9 Billion in the first half of 2016.

This is the second of 5 deals thus far in 2016 I think are particularly interesting, as part of digital healthcare and the ever changing vendor ecosystem. They each were chosen as part of the trend of cross industry exploration of opportunities in the digital health, where acquisitions are expected to be increasingly leveraged as firms strive to take advantage of the growth opportunities in healthcare, or continue to evolve their portfolios in the market.

This deal is a second example showcasing large brand consumer company acquisitions into the digital health market, in this case in the evolving pediatric wearable space. Pediatric digital health interests is something we consider as part of broader baby and family tech trends tied as well into consumer connected home.

Companies with interests into the high spend infant market progressively integrate digital health, mobile and technology components into their portfolio and experience offerings for consumers. Mobile apps have now replaced other historical tracking components for the daily living needs of new parents. This is also broadening user expectations in applications for example, to include data analysis, analytics and dashboarding as a differentiator.

With companies looking to target more technology oriented parents, how a wearable can be leveraged as part of infant care is something which will continued to be explored. Sproutling’s approach with their ankle device is something we found more potential utility from vs other approaches such as sensor embedded clothing.

As both consumer and more healthcare oriented manufacturers continue to digitize the nursery, sensors and applications will continue to become part of the common user experience for consumers.